ILR Salary Threshold: What Skilled Workers Need to Earn in 2026

The ILR salary threshold for Skilled Worker applicants in 2026 is not a single number. Which threshold applies to you depends on when you were first sponsored — and there are three distinct cohorts, each with different requirements.

Getting this wrong is expensive. An application that fails because your salary falls short of the correct threshold wastes £3,226 in application fees. Understanding your cohort before you apply is not optional.

The Three Cohort System

Cohort 1: Sponsored before April 4, 2024 (transitional threshold)

If your initial sponsorship was before April 4, 2024, you apply under transitional rules. The general threshold is £31,300, but you must also meet the "lower going rate" for your specific SOC code.

This cohort covers a large number of workers who entered the UK under the original post-Brexit Skilled Worker rules before the 2024 reforms came into effect.

Cohort 2: Sponsored April 4, 2024 – July 21, 2025

You must meet £38,700 or the 50th percentile going rate for your SOC code — whichever is higher. This applies if your initial sponsorship started during the mid-phase of the 2024 reforms.

Cohort 3: Sponsored from July 22, 2025 onwards

The most demanding threshold: £41,700 or the full standard going rate for your SOC code, whichever is higher. This also sets a minimum hourly rate floor of £17.13.

Health and Care Workers have a separate framework. Eligibility depends on the health-and-care role and the applicable RQF or public-service status. The supplied table gives £25,000 for a qualifying national-pay-scale role and £31,300 for the standard Health and Care figure; do not assume that public healthcare or RQF level alone determines the applicable rule.

The Per-Pay-Period Rule (New from April 2026)

From April 7, 2026, under Rule SW 14.3B, you must meet your applicable salary threshold in every single pay period — not just as an annual average.

This change means the applicable settlement salary rules must be applied to each pay period. Do not assume that overtime or bonuses are always included or always excluded; their treatment depends on the applicable rules.

In practice, a shortfall in a pay period can create a compliance gap. If your salary temporarily dropped due to unpaid leave, a pay cut, or a role change, review that period against the applicable settlement rules rather than relying on an annual average.

HMRC real-time data is now accessible to caseworkers, so this isn't a theoretical risk — it is actively checked.

The 48-Hour Calculation Cap

When verifying your general threshold (£31,300, £38,700, or £41,700), the Home Office only counts the first 48 hours of work per week. Hours above 48 are excluded from the calculation.

When verifying the going rate for your SOC code, however, all hours worked count — and the salary is pro-rated to the full hours. If you regularly work 55 hours a week but the going rate is set at a 37.5-hour standard, your actual salary must be higher than the stated going rate to pass the proportional check.

"New Entrant" Discounts Expire at Settlement

When you first applied for your Skilled Worker visa, you may have benefited from discounted "new entrant" or PhD-holder rates that reduced your salary requirement by 20%. Those reductions are generally unavailable at settlement.

If you've been relying on a PhD or new entrant reduction for your extension applications, verify that your current salary meets the full applicable threshold and going rate before submitting for ILR.

Multiple Employments Need Separate Reconciliation

For settlement salary, only income from the sponsored Skilled Worker role is used. Reconcile each employment separately and do not assume that a second job can be combined with the sponsored job to meet the threshold.

Your sponsored salary must clear the bar on its own.

Earnings Over £50,270: The Settlement Accelerator

The 2026 "Earned Settlement" framework introduced a reduction mechanism. If your gross salary has been £50,270 or above for the three years preceding your application, you qualify for a five-year reduction on the standard 10-year baseline — meaning you can apply at the five-year mark rather than waiting for ten years.

At earnings of £125,140 or above, the reduction is seven years, allowing ILR after just three years.

This creates a meaningful incentive for high earners to track and document their pay progression carefully, as it can dramatically shorten the path to settlement.

What to Check Before Applying

1. Identify your cohort based on when you were first sponsored
2. Find the going rate for your SOC code from the current Home Office Appendix Skilled Worker table
3. Confirm each relevant pay period meets the per-pay-period rule
4. Verify that your salary comes entirely from your sponsored role, not supplementary income
5. Check whether your earnings qualify you for the five-year accelerated route

If you've changed jobs during your qualifying period, your initial sponsorship date determines your cohort — not simply the date of a later sponsor's COS. This is a common source of confusion that affects which threshold applies.

What If Your Employer Changed Your SOC Code?

If your employer updated your Certificate of Sponsorship because your role evolved and changed your SOC code, do not assume that your salary cohort resets. The cohort is based on when you were first sponsored; the updated SOC code and going rate must still be checked.

This catches applicants who were originally sponsored under transitional rates but whose employer submitted an amended COS during an internal restructure or job title change. Check when you were first sponsored, not just when a later COS was issued or when you originally arrived in the UK.

Salary Sacrifice and the Threshold Calculation

Many UK employees contribute to a pension or use other salary sacrifice arrangements that reduce their gross salary on paper. If a salary sacrifice takes the assessed salary below the applicable threshold, the Home Office may treat the requirement as unmet even if the arrangement is voluntary and reversible.

Review salary sacrifice arrangements 3–6 months before applying and check whether they affect the salary shown for settlement purposes. Do not assume that the contractual salary alone overrides the pay-period evidence.

Ensure your employer letter and payslips clearly reflect the salary figures used in the applicable assessment, not just the take-home amount. A payslip that only shows net pay without the gross figure can create confusion in a caseworker review.

Timing Your Application Around a Pay Rise

Some applicants approach their ILR date knowing their salary is close to the threshold — perhaps £38,500 against a £38,700 requirement. If a pay rise is scheduled in the next few months, it may be worth waiting.

The 28-day window gives you a runway. If your pay rise takes effect two months before your qualifying anniversary, you can document it in your most recent payslip and submit comfortably within the window. Rushing to submit at the earliest possible day when your salary is marginal increases risk unnecessarily.

The UK ILR Settlement Guide includes the full cohort decision tree, the current going rate tables by SOC code, and a salary compliance worksheet designed to identify gaps before they become refusal grounds.

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